Today, manufacturers and small businesses from across the country were in our nation’s capital to fight for a critical component of our national economic policy: the Export-Import Bank (Ex-Im). More than 650 individuals paid their own way to come to Washington, D.C. to educate and inform our leaders in Congress about the role the Ex-Im Bank plays in ensuring American manufacturers can compete overseas on a level playing field.

The HSBC Flash China Manufacturing PMI shifted to a marginal expansion in February, improving slightly after contracting for two straight months. The headline index increased from 49.7 in January to 50.1 in February. The underlying data were mixed. New orders (down from 50.8 to 50.4) and output (up from 50.1 to 50.8) grew slowly for the month, even as the pace of sales slipped a bit. At the same time, new export orders (down from 51.1 to 47.1) and employment (up from 49.1 to 49.3) declined on net. Export sales, in particularly, deteriorated to their lowest level since August 2013, which was disappointing. The index for hiring, which has contracted now for 24 consecutive months, increased to a 7-month high, with the pace of the decline decreasing. Final PMI data will be come out on Monday, March 2. (continue reading…)

The U.S. economy generated 2.95 million net new nonfarm payroll workers in 2014, the fastest annual pace since 1999. In addition, the unemployment rate fell to 5.6 percent, its lowest level since June 2008. One might quibble that these figures overstate the overall health of the labor market, with part-time employment and unemployment still being a challenge. Indeed, the participation rate remains near 30-year lows. Still, the data suggest movement in the right direction. Manufacturers, for instance, hired an additional 15,500 workers on average each month in 2014, with 762,000 more employees since the end of 2009. The sector currently employs just more than 12.2 million workers. Therefore, manufacturing employment has increased at a decent pace of late, consistent with a mostly upbeat outlook. (continue reading…)

The Institute for Supply Management said that growth in manufacturing activity slowed somewhat in December. The manufacturing purchasing managers’ index (PMI) dropped from 58.7 in November to 55.5 in December, its lowest level in six months. While this was disappointing, it is important to note that new orders (down from 66.0 to 57.3) and production (down from 64.4 to 58.8) continued to expand at decent levels, albeit with less strength that in prior months. Indeed, this was the first time since June that the new orders index had been below 60, and December’s production figure ended seven consecutive months with that index exceeding 60. (continue reading…)

Here are the files for this month’s Global Manufacturing Economic Update:

It has become increasingly clear over the past few weeks that North America stands out as a bright spot in an ever-challenging global economic environment. Real GDP in the United States grew an annualized 4.2 percent in the second and third quarters, and U.S. manufacturers remain mostly optimistic about the next year. Indeed, the U.S. economy is expected to expand by around 3 percent, its fastest rate in a decade. Likewise, Canada and Mexico — our two largest trading partners — have made improvements in their respective economies since earlier this year. Canada has the distinction of having the highest purchasing managers’ index (PMI) of any of our top 10 trading partners, holding steady in November at 55.3. (continue reading…)

This morning, we will release the results from the latest NAM/IndustryWeek Survey of Manufacturers. Business leaders continue to reflect optimism about the coming months, with 91.2 percent of survey respondents saying they are either somewhat or very positive about their own company’s outlook. Moreover, manufacturers predict growth of 4.5 percent in sales and 2.1 percent in employment over the next 12 months, with both experiencing the strongest pace in at least two years. (continue reading…)